Borealis Infrastructure, an arm of one of Ontario’s largest public sector pensions, will pay $450 million to buy about a third of the Bruce Power nuclear partnership from Cameco Corp.

Transmission lines run from the Bruce nuclear power plant north of Hanover. . Borealis Infrastructure, an arm of one of Ontario's largest public sector pensions, will pay $450 million to buy about a third of the Bruce Power nuclear partnership from Cameco Corp.

By:The Canadian Press, Published on Fri Jan 31 2014

Borealis Infrastructure, an arm of one of Ontario’s largest public sector pensions, will pay $450 million to buy about one-third of the Bruce Power nuclear partnership from Cameco Corp.

As a result, Borealis will become the majority partner of Bruce Power with 56.1 per cent ownership. The other large partner is TransCanada Corp., the Calgary-based pipeline company.

The Bruce site’s assets remain owned by Ontario’s provincial government, but Bruce Power operates the eight nuclear reactors in Tiverton, Ont., on the eastern shore of Lake Huron.

Last year, the site produced about 30 per cent of the province’s electricity.

“Cameco played a critical role in the formation of Bruce Power in 2001 and have been a strong partner, contributing greatly to the success of the site,” said Duncan Hawthorne, Bruce Power’s president and CEO.

However, Hawthorne added, the outlook for both Bruce Power and Cameco has evolved and there is an opportunity to put Ontario’s long-term energy plan into effect.

Bruce Power’s release also said that its other partners, including TransCanada Corp., have the opportunity to follow Cameco’s lead.

Cameco Corp. is primarily a uranium mining company but has been a partner in the Bruce nuclear facility for many years.

“We believe the best option for our shareholders is to sell our interest in Bruce Power and continue to reinvest in our core uranium business where we see strong potential for growth,” said Tim Gitzel, Cameco’s president and CEO.

“We are proud of Cameco’s role in the creation and success of Bruce Power, which has become a key part of Ontario’s electricity supply.”

Borealis Infrastructure is an arm of OMERS, the Ontario Municipal Employee Retirement System, and already a partner in Bruce Power.

“We are very pleased to have the opportunity to increase our ownership in Bruce Power,” said Michael Rolland, President & CEO of Borealis.

“Bruce Power is an investment that continues to fit with our long-term strategy to invest in core, large-scale and high-quality infrastructure assets. It also plays a critical role in meeting the supply needs of the province of Ontario.”